Treasurer Jim Chalmers is set to open the floor to wider conversations on possible tax reforms during the government’s economic reform summit in August, emphasizing Labor’s responsibility to chart the nation’s future course.
With questions mounting over how the government intends to use its strong May 3 election mandate, Chalmers is encouraging Australians to confidently propose new ideas for tax reform.
“I expect, I anticipate, I welcome tax being an important part of the conversation,” Chalmers said on Tuesday, ahead of his scheduled speech to the National Press Club on Wednesday, where he’ll outline details of the upcoming “productivity roundtable”.
Chalmers acknowledged that achieving the government’s goals—boosting productivity, ensuring a sustainable budget, and strengthening economic resilience—would be challenging without open discussions on tax policy.
While business groups have reacted positively to the summit, some remain cautious, recalling how the previous “jobs and skills summit” was seen to be overly influenced by union interests. It’s unclear if opposition members will be invited to participate.
Scope for Tax Changes Includes Income and Company Tax
Chalmers will point out that while steps were taken in the previous term to address budgetary pressures—particularly in the NDIS and aged care—these challenges are growing, not easing. The government is considering a wide array of tax options, including changes to personal and corporate tax, as well as policy development in areas like electric vehicle taxation.
Australia’s productivity has remained mostly flat for over a decade, with only a brief increase during the COVID-19 pandemic.
The cabinet-room roundtable, scheduled for the latter half of August, will consist of several sessions focused on three core themes: productivity, fiscal sustainability, and economic resilience. Participants will be encouraged to share their views freely, and no confidentiality agreements will be required, according to the ABC.
Chalmers will use his press club appearance to warn that global instability is not a passing trend but part of deeper systemic shifts.
“Much of the democratic world is fragile because governments often fall short of meeting the expectations of working people,” he is expected to say. “We have both a responsibility and an obligation.”
He will stress the importance of restoring trust in democratic systems and economic institutions by improving living standards—especially for workers—and ensuring that future generations inherit a better quality of life.
Government Looks Beyond Election Promises
Following a term marked by inflation and rising interest rates, Chalmers is aiming to center the government’s second term on driving productivity reform.
His speech builds on one given last week by Prime Minister Anthony Albanese, who officially announced the productivity summit, which will bring together unions, businesses, and other stakeholder groups.
Chalmers will reaffirm that while the government is committed to delivering on key promises around housing and energy, its ambitions go further.
“These policies are the starting point, not the full picture,” he will say. “We have a mandate to implement what we pledged during the election—and a duty to go beyond. And the best way to figure out what comes next is by working together.”
